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Lindex to get new turnaround specialist CEO

Troubled Swedish fashion chain Lindex will get a new CEO in August with parent company Stockmann announcing that it has appointed Susanne Ehnbåge to the role.

Lindex

She will report to group CEO and chairman Lauri Veijalainen and until she joins, Elisabeth Peregi will continue in her interim CEO’s post.

The timing means the business will have been without a permanent CEO for a full year, with Peregi, who had been Country Manager of Lindex Sweden, having stepped in last August.

Peregi’s choice as interim CEO was a logical one as she had strong experience at the firm. But Ehnbåge comes from a non-fashion background so the choice is an interesting move on Stockmann’s part.

Ehnbåge is currently CEO of NetOnNet Group, a Scandinavian home electronics company. She has been CEO since 2016 and has worked for the firm since 2003.

Veijalainen called her “a skilful leader with very strong retail, e-commerce and turnaround competence, which we need in order to respond to the rapid changes in the fashion market. [She] is very energetic and result-driven. She has experience in an industry which has changed fast and is being continuously challenged by new e-commerce players and digitalisation.”

And Lindex certainly needs a new visionary at the helm. Peregi took over after top executive Ingvar Larsson left following the release of a weak earnings report with slower sales, lower margins and plunging profit.

Lindex has previously been a strong performer and a bright spot in Stockmann’s portfolio but the tough Nordics marketplace has taken its toll on the business in recent periods.

Archives Lindex

Stockmann’s Performance is getting better but the firm isn’t in the clear yet as the Lindex chain owner is still facing big challenges. One of the biggest is that Lindex operation which is finding sales growth elusive.

Lindex has teamed up with eight young artists in a new initiative merging art, fashion and female empowerment. Each piece is inspired by artworks celebrating women, and aims to encourage shoppers to express themselves.

Lindex, Stockmann’s troubled fashion operation, is continuing to drag down the results of its parent company, the firm said Friday. While Stockmann’s own turnaround is progressing, albeit slowly, Lindex is struggling.